The State of California has its own income tax program and its own rules. Here are some key things to be aware of for the 2022 tax season.
Like with the IRS, the California Franchise Tax Board (FTB) wants you to file online for speed and accuracy.
You might also qualify for low and middle-income tax credits.
Here’s what the FTB has announced:
Californians with income up to $30,000 may qualify for the California Earned Income Tax Credit.
Those who are eligible for the CalEITC and have a child age 5 or younger also may receive up to $1,000 from the Young Child Tax Credit.
California employers can receive a hiring tax credit for each qualified homeless individual they hire. The credit is worth up to $30,000 for businesses.
Californians who did not have qualifying health insurance throughout the year 2021 are subject to a penalty of $800 or more when they file their state tax returns. There are also penalties if your dependent child doesn’t have insurance. A family of four could face a penalty of $2400 or more.
Like with your IRS tax return, always consult with a tax professional if you have any questions or problems.
Disclaimer: Alan Mendelson is a well-known TV consumer news reporter who reports on tax issues. You should seek professional advice if you have tax questions or issues.